topic American opportunity Credit in Get your taxes done using TurboTax

American opportunity Credit

jkora — Mon, 08 Mar 2021 17:38:18 GMT

I am a full time student and I made about 4300 dollars in 2020 working part time jobs while in school. My parents filing joint return claiming me as a dependent won't qualify for AOC as their AGI is above the limit. Will I be able to file my own return not being claimed as a dependent and be eligible for this credit. Also will that make me eligible for the coming stimulus payment? Thanks a lot for the time and advise.

Re: American opportunity Credit

MinhT1 — Mon, 08 Mar 2021 18:02:20 GMT

As a dependent of your parents, you cannot claim your education credits.

Only your parents can claim them. And if they are disqualified by income, then that's the law.

As the projected bill for the third stimulus now stands, dependents older than 16 will be eligible for the third stimulus, but the stimulus will be paid to the parents.

Re: American opportunity Credit

jkora — Mon, 08 Mar 2021 18:19:34 GMT

Thanks for taking the time to answer. What if my parents do not claim me as a dependent. My earned income of 4500 dollars will qualify me to file a return my own? Thanks again.

Re: American opportunity Credit

ColeenD3 — Mon, 08 Mar 2021 19:05:58 GMT

Not if it is W-2 income. Having to file a return is based on income, not whether or not your parents claim you. The exception to that is unearned income.

The minimum income requiring a dependent to file a federal tax return. 2020 filing requirements for dependents under 65:

Earned income of at least $12,400
Unearned income (like from investments or trusts) of at least $1,100
Self-employment income over $400.